Is it Wrong to Use the Hadith "Every Loan that Bears Benefit is Riba" as an Argument?

This writing is made in order to refute the pretext (syubhat) of some people who want to defend usury (the charging of interest on loans for a specified period) by arguing that the hadith is weak. They ignorantly reject the hadith solely to defend usurious banking which applies usurious loans to customers to gain profit from those loans under the term 'interest'. Is this hadith truly weak, such that it shouldn't be used as an argument? This is also to give the benefit that the weakness of a chain of narration (sanad) does not necessarily mean it cannot be used as a legal basis. This discussion will begin by explaining the takhrij of this hadith and its status in terms of sanad and matn (text), then explaining its content scientifically.

It is narrated marfu’ (traced back to the Prophet),

“Hafsh bin Hamzah narrated to us. Sawwar bin Mush’ab informed us, from Umarah bin Al-Hamdani. He said, “I heard Ali saying, “The Messenger of Allah, shallallahu ‘alaihi wa sallam, said, “Every loan that brings about a benefit, it is Riba” (Narrated by Al-Harith in Bughyat Al-Bahits: 437 from Ali bin Abi Talib).

It is also narrated mauquf (stopped at the Companion) from the Companion Fadhalah bin Ubaid with the following wording and sanad,

“Abu Abdullah Al-Hafizh and Abu Sa’id bin Abu Amru informed us. Both said, Abul Abbas Muhammad bin Ya’qub narrated to us. Ibrahim bin Munqidz narrated to us. Idris bin Yahya narrated to me, from Abdullah bin ‘Ayyasy. He said, Yazid bin Abu Habib narrated to me, from Abu Marzuq At-Tujaibi, from Fadhalah bin Ubaid, a Companion of the Prophet shallallahu ‘alaihi wa sallam, who said, “Every loan that brings about a benefit, it is one type among the types of Riba.” (Narrated by Al-Bayhaqi in As-Sunan Al-Kubra: 10933)

Scholars’ Assessment of the Hadith's Sanad

1. The marfu’ narration narrated by Al-Harith was weakened by Abdul Haq Al-Isyibili, Al-Warani Al-Maushuli, Ibn Abdil Hadi, Ibn Kathir, Ibn Abil ‘Izz, Ad-Damiri, Ibn Mulaqqin, Al-Bushiri, Al-Asqalani, Ibnul Hammam, Ibn Qadhy Syuhbah, As-Suyuthi, Al-Munawi. [1] The ‘illat (flaw/factor) that caused this hadith to be weakened is that in its sanad there is a narrator named Sawwar bin Mush’ab who was judged as munkarul hadits (his hadith is rejected) by Al-Bukhari and matrukul hadits (his hadith is abandoned) by Ahmad bin Hanbal, Abu Hatim, and An-Nasai, and was weakened by Ibn Ma’in. [2] He was also weakened by Ibnul Madini, Abu Dawud, and Ibn Adi. [3] This is the first point. Second, the disconnection of the sanad between Umarah and Ali bin Abi Talib as affirmed by Ibn Kathir. [4] Third, the unknown status of Umarah Al-Hamdani who narrated from Ali. There is no biography of him other than Sawar's narration from him. This means only Sawar narrated from him, and this indicates a narration of tafarrud (solitary narration) which is at the peak of tafarrud weakness and also the peak of majhul-ness (unknown). Because the only narrator who narrated from him is accused of being munkarul haditsand matrukul hadits. In conclusion, this hadith is extremely weak.

   Nevertheless, some scholars affirmed its authenticity such as Imam Haramain, [5] and was then followed by Al-Ghazali and Ar-Rafi’i who attributed it directly to the Prophet. [6] However, this was criticized by Ibn Mulaqqin who mentioned the reason for its weakness. [7] Ash-Syaukani even harshly criticized Al-Ghazali and his teacher (Imam Haramain) by calling them, "They lack experience in this field of (hadith) science. [8]" Ash-Syaukani was perhaps not entirely wrong in saying this, because the capacity of these two scholars was indeed not in the science of hadith. [9] However, some hadith scholars also attributed the hadith directly to the Messenger of Allah, as done by Adz-Dzahabi and Ibnul Qayyim. [10] The same was also done by Al-Qurtubi in his tafsir. [11]

   Al-‘Azizi quoted the statement of Muhammad Hijazi Al-Wa’idzh, "Hadith hasan li ghairihi (good due to external support)." [12] Al-Bushiri himself hinted at the existence of a supporter for this hadith. Al-Bushiri said, "This hadith has a supporting narration that is mauquf (stops) at Fadhalah bin Ubaid." [13] This opinion of Al-Bushiri is also supported by Ar-Ruba’i. [14] The conclusion is, the sanad of this hadith is very weak due to the presence of Sawar bin Mush’ab.

2. The mauquf narration. This is the supporting narration referred to by Al-Bushiri. This narration, as above, was narrated by Al-Bayhaqi in Al-Kubra as mauquf, stopping only at the Companion Fadhalah bin Ubaid, not attributing it to the Messenger of Allah. Ibn Hajar Al-Asqalani weakened this supporting narration without mentioning its defect. [15] All narrators in that sanad of Al-Bayhaqi are thiqah (trustworthy) [16] except Abdullah bin Ayyasy. This is perhaps what caused Al-Asqalani to weaken it. Regarding Abdullah bin Ayyasy bin Abbas Al-Qitbani, Abu Hatim said, "He is not strong in his memorization, but he is honest. His hadith may be written and his status is close to Ibn Luhai’ah. [17]" He was declared thiqah by Ibn Hibban and Ibn Khalfoun. [18] Adz-Dzahabi said, "Salihul hadits (good in his hadith - to be used as support) [19]" Al-Asqalani said, "Honest but mistaken. [20]" Al-Mizzi said, "Muslim narrated a hadith from him. [21]" Al-Asqalani commented on Al-Mizzi's statement, "It is found in Muslim's hadith but as a supporting narration, not the main narration. [22]" Al-Hakim is among those who authenticated a hadith narrated through the chain of Abdullah bin Ayyasy. [23]

   An-Nasai and Abu Dawud weakened him. [24] Ibn Yunus said, "He is munkarul hadits." The same was affirmed by Ibn Makula. [25] The conclusion is, the sanad of this hadith is weak but not severely weak. That is, mauquf dhaif (weak Companion-level narration), considering that Imam Abu Hatim allowed Abdullah bin Ayyasy's narration to be written and Imam Muslim used his hadith as a supporting narration in Sahih Muslim.

   This is what Adz-Dzahabi affirmed and Al-Bushiri and Al-Asqalani tended towards. Additionally, some scholars did not comment on him, such as Al-Bukhari and Ad-Daruquthni. Plus, Ibn Hibban, Al-Hakim, and Ibn Khalfoun declared him thiqah. He is also not accused of narrating fabricated hadith or having his hadith abandoned. His defect is only in his weak memorization, not his credibility. That is why Abu Hatim and Al-Asqalani called him "Honest." Only Ibn Yunus and Ibn Makula accused him of being munkarul hadits, and that accusation was not accompanied by an explanation (it was not jarh mufassar). [26] It is even possible that this hadith (the mauqufhadith of Fadhalah) becomes hasan (good), if we follow Abu Hatim's assessment which only explains Abdullah bin Ayyasy's weakness in his memorization. Of course, Fadhalah as a Companion would not have said that from his personal opinion. This could fall under the category of a mauquf hadith that has the status of marfu’ (attributed to the Prophet). Moreover, this is reinforced if we compare it with the consensus of the salaf which will be explained in sha Allah (God willing).

   Even if the hadith is indeed weak from the aspect of sanad, does that mean the hadith is weak because of the weakness of its sanad? Weakness on the side of the sanad does not necessarily make the hadith weak on the side of its ruling or status. Not every hadith with a weak sanad is weak to be used as an argument. Because a weak hadith is different from a hadith whose sanad is weak. How many hadith are weak but their matn (text) or meaning is authentic (sahih). Imam An-Nawawi said,

   إِذَا رَأَيْتَ حَدِيثًا بِإِسْنَادٍ ضَعِيفٍ فَلَكَ أَنْ تَقُولَ هُوَ ضَعِيفٌ بِهَذَا الْإِسْنَادِ، وَلَا تَقُلْ ضَعِيفُ الْمَتْنِ لِمُجَرَّدِ ضَعْفِ ذَلِكَ الْإِسْنَادِ إِلَّا أَنْ يَقُولَ إِمَامٌ إِنَّهُ لَمْ يُرْوَ مِنْ وَجْهٍ صَحِيحٍ أَوْ إِنَّهُ حَدِيثٌ ضَعِيفٌ مُفَسِّرًا ضَعْفَهُ

   "If you find a hadith with a dhaif (weak) isnad (chain of narration), then you are allowed to say, 'this hadith is weak by this isnad.' Do not say, 'the matn is weak' merely because of the weakness of that isnad. Unless an Imam (hadith scholar) says that it has not been narrated through any authentic route at all or that it is a weak hadith with a clearly explained weakness." (At-Taqrib wa At-Taysir p. 47)

   That is why Al-Hafizh Al-Asqalani said,

   وَعَنْ عَلِيٍّ - رضي الله عنه - قَالَ: قَالَ رَسُولُ اللَّهِ -صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ-: "كُلُّ قَرْضٍ جَرَّ مَنْفَعَةً فَهُوَ رِبًا" رَوَاهُ الْحَارِثُ بْنُ أَبِي أُسَامَةَ وَإِسْنَادُهُ سَاقِطٌ وَلَهُ شَاهِدٌ ضَعِيفٌ عَنْ فَضَالَةَ بْنِ عُبَيْدٍ عِنْدَ الْبَيْهَقِيِّ وَآخَرُ مَوْقُوفٌ عَنْ عَبْدِ اللَّهِ بْنِ سَلَامٍ عِنْدَ الْبُخَارِيِّ

   "From Ali – radiyallahu ‘anhu (may Allah be pleased with him) -, he said, The Messenger of Allah – sallallahu ‘alaihi wa sallam (peace and blessings be upon him) – said, 'Every loan that brings about a benefit (profit), that is riba.' Narrated by Al-Harith bin Abu Usamah and its isnad is broken/worthless (extremely weak). But this hadith has a weak supporting witness (shahid) from Fadhalah bin Ubaid with Al-Bayhaqi, and another mauquf(Companion-level) narration from Abdullah bin Salam with Al-Bukhari." (Bulugh Al-Maram p. 253)

   This means, even though the hadith of Ali is extremely weak, its matn (text) content is authentic because it has supporting narrations from a sahih mauquf hadith (stopping only at the Companion of the Prophet) from the narration of Al-Bukhari and a weak one from the narration of Al-Bayhaqi. In conclusion, arguing with the above hadith, even though its sanad is weak, is permissible. Because the weakness in its sanad does not affect the matnor the content of the hadith. This is what caused some scholars such as Al-Qurtubi, Adz-Dzahabi, and Ibnul Qayyim to attribute the narration to the Prophet, which is because the content of its matn is considered possibly originating from the Prophet.

   Despite this, it should not be definitively attributed directly to the Messenger of Allah due to the weakness in its sanad, so as not to fall into the act of lying in the name of the Messenger of Allah - even though some scholars attributed it to the Prophet - as a matter of caution. Imam Ibn Salah explained,

   إِذَا أَرَدْتَ رِوَايَةَ الْحَدِيثِ الضَّعِيفِ بِغَيْرِ إِسْنَادٍ فَلَا تَقُلْ فِيهِ: "قَالَ رَسُولُ اللَّهِ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ كَذَا وَكَذَا" وَمَا أَشْبَهَ هَذَا مِنَ الْأَلْفَاظِ الْجَازِمَةِ بِأَنَّهُ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ قَالَ ذَلِكَ، وَإِنَّمَا تَقُولُ فِيهِ: "رُوِيَ عَنْ رَسُولِ اللَّهِ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ كَذَا وَكَذَا، أَوْ بَلَغَنَا عَنْهُ كَذَا وَكَذَا، أَوْ وَرَدَ عَنْهُ، أَوْ جَاءَ عَنْهُ، أَوْ رَوَى بَعْضُهُمْ" وَمَا أَشْبَهَ ذَلِكَ وَهَكَذَا الْحُكْمُ فِيمَا تَشُكُّ فِي صِحَّتِهِ وَضَعْفِهِ، وَإِنَّمَا تَقُولُ: "قَالَ رَسُولُ اللَّهِ صَلَّى اللَّهُ عَلَيْهِ وَسَلَّمَ" فِيمَا ظَهَرَ لَكَ صِحَّتُهُ

   "If you want to convey a dhaif (weak) hadith narration without an isnad, then do not say about it: 'The Messenger of Allah sallallahu ‘alaihi wa sallam said such and such' or expressions similar to this that are definitive that he sallallahu ‘alaihi wa sallam said that. You should only say about it: 'It was narrated from the Messenger of Allah sallallahu ‘alaihi wa sallam such and such,' or 'it reached us from him such and such,' or 'it came from him,' or 'some of them narrated' and expressions similar to that. This is the ruling for that about which you doubt its authenticity and weakness. You are only allowed to say: 'The Messenger of Allah sallallahu ‘alaihi wa sallamsaid' concerning what is clear to you as authentic." (Al-Muqaddimah Ibn Salah p. 103-104)

Statements of the Salaf (Pious Predecessors)

 The Tabi’i (Successor) Ata bin Abi Rabah said,

"They (the Companions) disliked every loan that brought about a benefit." (Narrated by Ibn Abi Shaybah in Al-Musannaf: 20689)

The Tabi’i Ibn Sirin said,

"Every loan that brings about a benefit, it is disliked." Ma’mar said, "The same was also said by Qatadah." (Narrated by Abdur-Razzaq in Al-Musannaf: 14657)

The Tabi’i Ibrahim An-Nakha’i said,

"Every loan that brings about a benefit, that is Riba." (Narrated by Ibn Abi Shaybah in Al-Musannaf: 20690, and Abdur-Razzaq: 14659 but with the wording, "there is no good in it.")

The Tabi’i Al-Hasan Al-Basri said,

"There is no good in a loan that brings about a benefit." (Narrated by Ibn Abi Shaybah in Al-Musannaf: 21031)

These statements of the tabi’in are very firm and clear. No one denied them. They affirmed the same wording as the weak hadith above, namely "every loan that brings about a benefit is riba." This becomes an ijma’ sukuti (tacit consensus) among the salaf. This means, the matn of the hadith is sahih (authentic) due to this ijma’.

Ijma’ (Consensus of Scholars)

As for the implementation of the hadith, it is affirmed through the ijma’ of the scholars. Imam Ibn Al-Mundzir from the Shafi’i school said,

"They (the scholars) have agreed that if the lender stipulates a benefit of the loan in the form of a gift or an increase, and lends it based on that condition, then taking that increase is riba." (Al-Ijma’ p. 109)

Imam Ibn Abdil Barr from the Maliki school said,

"Every increase, whether material or a benefit, stipulated by the lender upon the borrower, is riba without any difference of opinion in that." (Al-Istidhkar, 6/516)

Imam Ibn Qudamah from the Hanbali school said,

"Every loan that stipulates an increase in it, is forbidden without a difference of opinion (among the scholars)." (Al-Mughni, 4/240)

Imam Al-‘Aini from the Hanafi school said,

"The Muslims have agreed, based on the teaching from the Prophet sallallahu ‘alaihi wa sallam, that the stipulation of an increase in a loan is riba." (Umdat Al-Qary, 12/135)

Imam Ibn Hazm from the Zahiri school said,

"They (the scholars) have agreed that the condition that the repayment (of debt) must be better or more than what was borrowed is not permissible or not lawful." (Maratib Al-Ijma’ p. 94)

From this, it can be concluded that the implementation of the narration "every loan that brings about a benefit is riba" is when there is a condition that the benefit reverts to the lender, and the scholars agree on the prohibition of this and agree that it is riba. However, if there is no prior condition, then there is a difference of opinion among the scholars. [27]

Conclusion 

The hadith about "every loan that brings about a benefit is riba," although weak from the sanad side, its meaning is sahih (authentic) because it is supported by the practice of the Companions and its content is affirmed by the salaf. Its content is also agreed upon for implementation by the ijma’ (consensus) of the scholars in the form of a stipulation of an addition to the loan given. Therefore, the weakening of that hadith by some ignorant groups - may Allah guide them - is a false argument and simultaneously shows their lack of knowledge regarding the methodology of legal evidence and dealing with scriptural proofs. Thus, it is clear that every loan built upon the condition of an addition to the loan or debt upon the borrower, whether called interest, a gift, a fine, administration fees, and so on, is riba which is forbidden in shari’ah according to the consensus of the scholars.